Burbank, California, is a predominantly upper-middle class community of over 100,000 people. Many citizens of Burbank are employees of the movie and television studios located in and around the city. It has a small-town feel, but is only a ten-minute drive to nearby Hollywood. Known as the “media capital of the world,” Burbank is home to many media and entertainment companies such as NBC Universal, The Walt Disney Company, and Warner Bros. People are flocking to Burbank in great numbers to live the movie star life and you could very well be one of those people: buying a home in Burbank is not as hard as you may expect it to be.
Mortgage interest rates are now lower than they have been in many years, so now is a great time to get into a mortgage with a very low interest rate. No matter you’re your credit situation, you can find a mortgage loan that is right for you.
Homebuyers with excellent credit may be able to qualify for a traditional conforming loan. The loan terms and interest rates are generally better with this type of loan. Conforming loans have either a fixed rate or a variable rate. Just as their names imply, a fixed-rate loan has a static interest rate throughout its term, while a variable interest rate varies with the national average, which results in a varying payment from month to month.
Refinancing means you can do away with the first mortgage and get a new one for the remaining balance of the first mortgage. For example, if you have a rate of 6.3%, and the national rate drops to 5%, you can refinance and take advantage of the lower rate. Don’t just refinance based on an interest rate, though; consider other loans and other loan terms. For example, balloon and interest-only loans are other types of refinancing available. With the interest-only product, you will only pay the interest each month for ten years. After the ten years is up, make both interest and principal payments. With a balloon loan, you’ll get a great fixed interest rate. This makes the monthly payments the same every month. At the end of the term, you will just have to pay on big lump sum, or balloon. To make this balloon payment at the end, most people will have to save a little each month.
As you make your monthly payments on a first mortgage or a refinance loan, you are building equity in your home. Home equity is the difference between what your home is worth on the market and what you still owe on the mortgage. Home equity loans are becoming very popular with homeowners because they give you quick access to a large amount of cash. People use them for a variety of reasons, but most of the home equity loans and lines of credit are used to remodel the home. When you update your home, you are raising the market value of the home. On the other hand, you may decide to use the equity in your home to pay off debt. You can pay off student loans or your car, or even to take a vacation. Use the equity you’ve created for whatever you like.
If you decide that Burbank is the right place for you to live and raise a family, then we can help you get started in finding that perfect home. Please fill out the simple form below and one of our agents will contact you to discuss any questions, comments, or concerns you may have.
